Rockwell Collins Can Take Flight

The avionics manufacturer announced a downbeat forecast last month. However, the company's depressed stock is ready to gain altitude.

Shares of Rockwell Collins (ticker: COL) tumbled last month after the avionics manufacturer announced earnings guidance for its current fiscal year that was well below what analysts had expected.

A difficult defense market, which accounts for 60% of Rockwell's sales, and a weak outlook for business jets, another big contributor, are mostly to blame. Since the release on September 20, Rockwell's shares have fallen 8% to close Tuesday...